Team8, a Tel Aviv-based cybersecurity firm, has founded a fintech foundry with the former CEO of one of Israel’s largest banks.
Initially focused on building cybersecurity companies, the firm has since expanded with a venture capital arm, and most recently a fintech division.
“The foundry will build companies that enable incumbents, largely operating with legacy infrastructure, to hyperscale their digital transformation,” the firm says in a statement.
It will also tap non-financial firms with big customer bases that could benefit from financial services.
The foundry’s first company will build an engine to evaluate credit risk for small and medium-sized e-commerce firms.
The plan is to eventually co-found five or six companies over the next five years. It envisions investments of around $5 million and $8 million in each.